It’s that time of the year again. The Party Conference season. The time when all Government Housing Ministers and shadow housing ministers try to explain why they haven’t built much housing lately and how they now have the answer to their prayers and the prayers of their many older voters. BUNGALOWS!
It’s an old chestnut that I have written about many times.
(You can find my earlier posts by clicking on Retirement Housing in the Topics List and scrolling down to 2017 and 2016 and 2013)
It’s a dream, a mirage in the housing desert. Politicians perpetuate the illusion because it seems to solve so many of their other problems. Older people who move out of under occupied houses release equity to pay for their future care. Large family houses are freed up for growing families. The whole housing market starts to move forward.
Estate agents couldn’t be more delighted, which is why they keep writing reports on the virtues of bungalows. The latest report is from the Home Owners Alliance, who commissioned a survey of 2,000 people across the UK in April. They found that “one in seven home owners aged over 55 said they wanted to move….and 38% would prefer a bungalow” A spokesman for McCarthy and Stone said there was a “Critical shortage of bungalows”, which is rather surprising because I don’t think they are rushing to build many.
This is all just amateur analysis of the issue, repeated by lazy housing journalists who should know better. The harsh reality is that the high cost of purchasing land and the strong opposition to building on green belt makes it impossible to build bungalows at affordable prices. Only 1% of new homes built last year were bungalows.
The other question that needs asking is are bungalows the best option in later life ? When you step outside your bungalows front door it can be cold and wet in the winter and they are not always located close to amenities.
I am all in favour of downsizing to release the equity accumulated in your family home, but only if it offers a better lifestyle and a range of support, if or when you need it in future.
There was at least one good article in The Times by David Byers, which reviewed the issue, but sadly came to the wrong conclusion. He points to a key to solving the problem, which is that “ the over 60’s own £2.95 trillion of property”. The blockages to unlocking that money are an over-priced equity release market and the scarcity of good quality inexpensive retirement housing.
In all these reports and articles they have the right keys, but, they are unlocking the wrong doors!
More in my next post.
GrumbleSmiles 
